- You obviously skilled math class and economic class JACK
- February 07, 2012 - 07:44
Jack said " Since Electro-Motive is a Caterpillar division, and Caterpillar or CAT has made over $5 billion last quarter, their closure of the London, Ontario railcar facility is definitely a symbol of greed. "....................So you are telling be because CAT is profitable, the should keep their unprofitable sister company open? That is pretty stupid and an example of the union entitlement that leads companies to hate unions. Each any every division of a company needs to be independently profitable. If one division is not profitable, it should be shut down period. I am a CAT shareholder, and I actively make submisisons to the company that as a shareholder, I expect them to only operate profitable divisions. As such, I applaud the company's decision to shut down the unprofitable divisions. I just mailed a thank you letter in response to the London closure. Look at GM, Chrysler and other bankrupt companies...one of the first things they did was to close down the unprofitable divisions. THink of CAT and its subsidiaries as the human body.....if all is working and making profit, then great.....but if you have one arm that is failing, and even though you are profitable, your profits will increase if you cut of that arm. EMD in London was not a profitable operation...rather it was a liability. THey have cut of that arm, and are now a stonger company. SUre, they put people out of work, but technically, they had a duty to their shareholders to do so. Again, I applaud their decision.
- Fred from Brigus
- February 07, 2012 - 05:33
Greed forced the closure of the pant not the high cost of labor. I believe labor only accounts for some 3% of the cost.
- Labour costs must be competitive
- February 07, 2012 - 07:37
Even if labour is 3% of the most, I would argue that that is still too much if cheaper labour exists elsewhere.
- February 06, 2012 - 11:42
Cat made 5 billion last quarter, O the greed runs deep
- JUST BECAUSE CAT MADE FIVE BILLION DOES NOT MEAN THAT EMD, THE COMPANY THAT CLOSED ACUTALLY WAS PROFITABLE
- February 06, 2012 - 13:42
The earnings of CAT is irrevelant because CAT is not the company that moved, it was EMD. CAT is just an investor who owns EMD. EMD was not making money becuase the workers were paid too much, so EMD closed down London and moved the work to an more efficient operation. And as a shareholder, I applaud the company for this decision.
- February 07, 2012 - 06:31
"JUST BECAUSE CAT MADE FIVE BILLION DOES NOT MEAN THAT EMD, THE COMPANY THAT CLOSED ACUTALLY WAS PROFITABLE", that's beside the point. Since Electro-Motive is a Caterpillar division, and Caterpillar or CAT has made over $5 billion last quarter, their closure of the London, Ontario railcar facility is definitely a symbol of greed. At the end of the day, Caterpillar should be forced to pay back the $5 million in tax breaks as punishment for not fulfilling their job commitments and face a ten year suspension from setting up shop in any Canadian province, particularly Ontario. This ban would apply to its subdivisions as well. In the meantime, every single Canadian, including the corporate community, should boycott selling CAT related products like their famous hats and boots like London, Ontario is doing now.
- EXCELLENT.....ANOTHER RIGHT TO WORK STATE....TIME TO CALL THE GOVERNOR
- February 06, 2012 - 08:04
I will be putting in a call to this governor to see if he wants to buy some jobs from my companies. If he is willing to pay enough, I can have some jobs within 45 days. I do feel bad for the workers that are displaced, but I am happy about this development for various reasons. First and foremost, I am a CAT shareholder, and like other shareholders, we have been pushing the board to makes changes like this to increase our profits. Secondly, I am openly anti-union, so I am happy to see union jobs go south. Thirdly, I am a business owner, and this type of event will make workers consider concessions in profitable times...maybe I can extract some more concesssions from my unskilled workforce. Forthly, there is a fresh, ripe right to work state with money to trade for jobs. I have dealt with right to work states before, but a fresh state with money to spend to get jobs is ripe for the picking.
- February 06, 2012 - 07:58
I just wonder what your criteria for an expert is? Just because he teaches at a university doesn't make him an expert even at what he teaches.